Lebanon

Title: The Shortcomings in Energy Solutions Place Electricity at Risk!.. Al-Siniora's List Near Completion

Title: The Shortcomings in Energy Solutions Place Electricity at Risk!.. Al-Siniora's List Near Completion

The newspaper "Al-Liwaa" wrote: Amid the anticipation for the outcome of the evolving Arab path towards normalizing relations with the Gulf states, particularly Saudi Arabia, Kuwait, and other Gulf Cooperation Council countries, electricity has forcefully returned to the forefront yesterday, with growing fears of power outages and a lack of supply. This comes as workers announced a warning strike from today until Tuesday, and the Cabinet declared a "serious danger due to the presence of hazardous materials at the Zouk power plant." There remains uncertainty regarding a $78 million loan for electricity, which the energy minister has received preliminary approval for, and is needed to operate the plants, but awaits the finance minister’s mechanism.

While the army has been tasked with securing the site around Zouk if such a danger exists, official assurances remain a point of ongoing observation, along with the disruptions occurring in fuel, wheat, and meat supply, as well as providing essential goods with the approach of the holy month of Ramadan. Judicial and banking conflicts continue to escalate, with Rajaa Salameh, the brother of central bank governor Riad Salameh, appearing today before the investigating judge in Mount Lebanon, Nicolas Mansour, for questioning regarding accusations of illicit enrichment and money laundering. The indictments also involve the central bank governor himself, who Prime Minister Najib Mikati suggested should be invited to the next Cabinet session to participate in finding solutions to the judicial conflict led by the Public Prosecutor for Financial Affairs in Mount Lebanon, Ghada Aoun, against both the governor and the banks.

The concern remains, according to sources, about who guarantees Salameh's safety during his transition from his enforced residence at the central bank to the Cabinet meeting. On the political front, the positive stance from the Gulf continues to be of interest, awaiting its practical translation through the return of the Gulf state ambassadors who have left Beirut, as well as looking forward to the next steps from Arab Gulf nations. Meanwhile, Prime Minister Mikati is scheduled to visit Qatar this weekend to participate in the "Doha Forum" under the patronage of Qatari Emir Sheikh Tamim bin Hamad Al Thani, discussing political and economic topics with the Qatari leadership.

Wail Abu Faour, a member of the Democratic Gathering bloc, revealed that his meeting with officials in the Kingdom of Saudi Arabia focused on shared arrangements with the French for supporting social institutions and potential participation of the Kingdom in the international fund for supporting the Lebanese army and security agencies, along with measures to restore relations to their natural state and ways to develop them. He stated that efforts were built upon the Kuwaiti initiative to restore relations and invitations from Lebanon, particularly the stance of Prime Minister Mikati, alongside the French role, as all factors contributed to the arrival at this positive outcome. He announced that the return of the Saudi and Kuwaiti ambassadors is imminent, asserting that any positive gesture from Lebanon is met with even larger positive responses from the Gulf countries.

Arab diplomatic sources expect a positive stance regarding relations with Lebanon to be released during the upcoming Gulf Cooperation Council meeting on Sunday, complementing what has been declared by Saudi Arabia and Kuwait regarding this matter, paving the way for the return of the Council's ambassadors to Lebanon. The sources pointed to the positive reactions to the statement issued by the Prime Minister regarding the government's desire to establish the best relations with the Council states and the Arab brothers and its rejection of any offenses towards them, considering that it facilitates the path for upcoming visits by the Prime Minister to Council states, including Saudi Arabia later.

The sources downplayed the significance and implications of President Michel Aoun's positions in Vatican regarding Hezbollah's weapons and his defense of them on the advancement of relations with the Council. This is primarily due to local objectives related to giving a boost to his political heir, MP Gebran Bassil, ahead of the upcoming parliamentary and presidential elections. Secondly, because the Gulf states engage exclusively with the Lebanese government, noting that such pro-Hezbollah stances widen the gap caused by the President’s and his political team’s policies since he assumed office until now. This issue is expected to crystallize today with the arrival of Iranian Foreign Minister Hossein Amir-Abdollahian to Beirut.

The sources revealed preparations for launching the Saudi-French support fund from Beirut, with the presence of a French and Saudi diplomatic official.

In the Cabinet, President Mikati chaired a session at the Grand Serail in the afternoon, with a regular agenda that included 39 items, most notably: a presentation by the Ministry of Finance on borrowing between the Lebanese Republic and the Central Bank of Lebanon, and a presentation by the Ministers of Economy, Trade, and Agriculture on food security. Ministers discussed the judicial-banking conflict outside of the agenda. Information from the Serail indicated that internet services and communication for ministers' phones were cut since the beginning of the session to prevent media leaks.

At the meeting's start, President Mikati stated that the statements issued by Saudi Arabia and Kuwait indicate that the cloud hovering over relations with Lebanon is dissipating. He emphasized that the ties connecting Lebanon and its people with their brothers in the Gulf states are based on a shared history and belief in a common destiny. He added that any commitments are contingent on the steps being implemented sequentially, hoping these will suffice to restore relations to their natural state. He insisted on the importance of adhering to what is mentioned in the ministerial statement and called on Arab brothers to support Lebanon.

Addressing food security, President Mikati pointed to a series of steps being taken, considering some of the statements made provoke undue fears. He clarified that the meeting on Saturday aimed to consult on the premise that justice must prevail and the law must be applied. During the discussions within the session, the Minister of Justice addressed the partial judicial formations that occurred, expressing hope that they would be completed with the assembly of the Higher Judicial Council for completing the general formations. He emphasized that as the judiciary is requested to consider the financial, economic, and monetary conditions, judicial demands must also be taken into account.

The Minister of Justice proposed forming a committee, chaired by him, composed of ministers, judges, and bankers, to investigate the judicial-banking path and will continue studying the formation of this committee. The Cabinet decided to invite Central Bank Governor Riad Salameh to attend the session next Wednesday to discuss the financial and monetary situation and to inform the ministers of all current financial matters and reserves.

The Minister of Justice signed before participating in the session a decree regarding judicial formations related to appointing original presidents for the Courts of Cassation that comprise the General Assembly of the Court of Cassation. The decree will later be referred to Finance Minister Youssef Khalil, President Michel Aoun, and Prime Minister Najib Mikati. The Interior Minister Bassam Mawlawi submitted to the Cabinet a summary of a security report concerning the current dangerous situation at the Zouk thermal plant, which necessitates swift precautionary measures due to the presence of hazardous materials prone to explosion or ignition. The Cabinet tasked the army with taking necessary measures to remove any danger.

The Energy Minister Walid Fayyad informed the Cabinet that the central bank placed restrictions on dollar payment transfers, which would result in queuing crises at fuel stations. The Cabinet therefore decided to request that the Central Bank of Lebanon extend the dollar conversion mechanism for fuel companies at the Sayrafa rate for an additional two months. The Energy Minister requested a total of $78 million to operate electricity plants, receiving preliminary approval pending the Finance Minister's suggestions regarding funding.

It was reported that the Minister of Displaced Affairs, Issam Sharafeddine, proposed utilizing the Lebanese state's assets within a structure to be determined by the Cabinet, with a report on the matter to be presented next Wednesday. The plan involves cooperation between Arab and Lebanese banks to address the financial and monetary crisis in Lebanon.

In the electoral landscape, discussions are underway regarding the list that President Fouad Siniora intends to announce in Beirut. For the Sunni seat: former minister Khaled Qabani, Bashir Eytani, Lina Al-Tanir, Majid Damashqi. For the Shiite seat: Ahmad Ayash, Mona Fayyad. For the Orthodox seat: Michel Flah. For the Druze seat: Faisal Al-Sayegh. For the minorities seat: George Haddad. "Al-Liwaa" learned that communications are ongoing with the list being worked on by former MP Imad Al-Hout and candidate Nabil Badr to agree on a unified list for the elections in the second district in Beirut.

In Metn, "Al-Liwaa" learned that the list encompassing Mar and Tashnag - the National and Independents in the Metn district, which was finalized and includes seven candidates without a second Orthodox candidate, will be announced at 7 PM today from the office of the late Deputy Prime Minister Michel Mar in Al-Imara. The list includes seven candidates: MP Agop Baghdarian (Armenian Orthodox), Michel Elias Mar (Orthodox), Leah Abu Shia (Catholic), Randa Aboud (Maronite), Anton Khalil (National Party - Maronite), Maroun Abu Diwan (Maronite), and Maroun Rizkallah (Maronite).

Officially registered yesterday was the list of MP Michel Daher "Sovereign Independents," which includes: Michel Daher as head of the list for the Catholic seat, Omar Halablab for the Sunni seat, Samir Sadir for the Maronite seat, Youssef Qarouni for the Orthodox seat, Firas Abu Hamdan for the Shiite seat, and Martin Demirdjian for the Armenian seat.

In the Sidon - Jezzine district and the Baabda district, the issues were settled to form two lists instead of an alliance between the Free Patriotic Movement, Amal Movement, and Hezbollah to achieve higher hurdles and consequently more parliamentary seats. The same is now accepted to have occurred in the West Bekaa - Rashaya district and Baalbek-Hermel district for some time now. However, the coalition will likely remain in place among the three parties in the Kesrouan-Jbeil and Baabda districts.

Regarding electricity, in a development likely to worsen the electricity supply crisis, the Union of Workers and Employees of Electricité du Liban announced a strike and sit-in with the closure of entrances at the institution's facilities across Lebanon, permitting only institution workers and employees to enter starting today until next Tuesday, with no network maneuvers performed that might pose a public safety risk or receiving and delivering fuel, including unloading tankers and transferring fuel from one tank to another.

The union summarized its demands by rejecting the transfer of tasks related to issuing electricity subscription bills to service providers, as it contradicts the institution’s financial system, refusing to split violation records and have them priced by service providers' companies, and calling for replacing paper bills with electronic ones. They announced demands concerning refusing to expand these companies' authority, including salary supplements to the salary essence and comprehensive health coverage, ensuring salary payments and social assistance, and demanding a halt to fragmenting the institution, warning against handing over main substations and production plants.

Is there a fuel crisis? Fuel prices rose again yesterday across various types; a crisis emerged from several companies halting distribution, causing queues of vehicles at service stations. George Brax, a member of the Fuel Station Owners Syndicate, stated in a statement: "For more than five months, we have been warning that we will reach this situation if fuel station owners are requested to secure dollars for importing gasoline. It is urgent for the Prime Minister and Energy Minister to intervene to find a fundamental solution to this issue. We are not involved in importation. The solution is: secure the needed dollars from the Central Bank for importing companies, taking into account the banking commissions in the cost table of the goods, making gasoline deliveries to stations only in Lebanese pounds accordance with the price table. Otherwise, we cannot purchase gasoline as required in dollars, because we incur losses exceeding 35,000 for each canister. We will be compelled to cease receiving goods and close our stations.”

Meanwhile, fuel distributors’ representative Fadi Abou Chakra said: "They are asking us to secure dollars, which will increase pressure on the exchange rate, with the citizen shouldering the consequences. However, there is no crisis today. We urge Energy Minister Walid Fayyad to swiftly act to resolve the situation between the oil importing companies and the Central Bank. This issue is not accounted for in the fuel prices table. While banks take commissions on dollars, some charge between 1% and 2%, while others withhold 10% of the value of the amounts available.”

Judiciary Once Again

In the context of the confrontation between the judiciary and banks, the "United" Alliance and the "Depositors' Cry" Association will hold a meeting at 2 PM today in the Justice Palace to discuss the appeal against the decision of the judge Habib Rizkallah before the Court of Cassation regarding the lifting of seals on cash safes in Fransabank as decreed by the head of the Enforcement Division in Beirut, Judge Mariana Anani.

On the ground, retired Lebanese Army and Internal Security Forces members blocked the entrance to BLC Bank in Kousba, demanding the receipt of their full entitlements, not just 60%.

In the case of the Beirut Port explosion, attorney Sachar Hashim, representing the head of the Administration and Investment Authority of the port Hassan Qreitem and the port security official Mohammad Al-Aw, who are detained in the Beirut port explosion case, filed a case to transfer the file from investigating judge Tarek Bitar to a body capable of considering the release requests of the detainees. The lawsuit presented to the sixth chamber in the Court of Cassation relied on "the material impossibility for Bitar to proceed with the file due to the continuous requests for recusal against him since September 2021 by the ministers and deputies indicted in the matter."

**1,089,419 Infections**

Health-wise, the Ministry of Health registered 414 new COVID-19 infections and 5 deaths, raising the cumulative number to 1,089,419 confirmed infections since February 21, 2020.

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